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Freelancers now officially make up over one-third of the U.S. workforce — and that number doesn’t even count the immeasurable number of people who hold salaried jobs but make extra money via “side hustles” like dog walking, driving for Uber or delivering for Instacart. The world is quickly shifting to an economy where people work for multiple on-demand employers and manage their own schedules — and that’s especially true for newcomers to the workforce.

Yet HR professionals haven’t kept up with this new flexible work reality. Many still think in terms of posts to fill and candidates to fill them. Especially for hourly-wage jobs, there’s a huge disconnect between how workers would like to apply for, access and perform shift work and how employers offer these shifts. Workers would like to choose open shifts that fit their schedules, whereas hiring managers usually offer a fixed number of shifts per week. What’s more, once they’ve hired a person to fill a position, managers often change people’s hours on the fly to meet fluctuating demand. Workers who have little control over their schedules and incomes feel frustrated and are increasingly turning to on-demand jobs where they can choose their own hours. With more people opting for on-demand work, companies are finding it difficult to hire enough full- and part-time workers to fill open posts.

Clearly, the hourly job hiring model is broken. But how can HR professionals evolve their recruitment strategies to engage more effectively with the largest workforce demographic — millennialsand the younger Gen Z behind them? How can they provide flexible ways for workers to find hourly jobs that fit their schedules while still ensuring shifts are staffed to capacity?

The first step to tailoring hiring to fit the needs of the on-demand generation is to understand how the new generation of workers thinks. We understood this need and conducted a study to find answers.

First and foremost, we learned that these employees value flexibility and having control over their own schedules. They are looking for a total number of hours and don’t mind having multiple income sources to achieve those goals. They are mobile, accustomed to using their phones to research and communicate most facets of their daily lives.

Understandably, they want to find and secure hourly jobs and opportunities via mobile experiences. Seventy-five percent of job seekers find jobs via mobile devices, yet only 54% of job postings are mobile-friendly, creating a major pain point for workers and employers. The biggest frustration with job applications is the “black hole” experienced when communicating around the opportunities. Communication technologies are not always in sync with job seekers and employers. While the workers we surveyed told us they prefer email, phone and text (in that order) for communication, our actual usage data shows the inverse: Seekers are responding most often via text, followed by phone and email.

Of course, all employers cannot simply shift to a 100% on-demand model, filling shifts on the fly with an army of freelancers. The retail, restaurant and hospitality industries employ millions of people, and having a stable base of full- and part-time employees is critical to business success, brand building and long-term profitability. But they can begin to use technology to add more flexibility to their hiring processes.

Already in use for several years, scheduling software helps managers see larger trends in business demand, staff up or down depending on that demand and keep track of tens of thousands of employees’ schedules in one place. This advanced forecasting and management software has helped employers optimize hiring based on current demand and thus boost overall profitability, but it has also led to the situation where workers see their hours cut or added without notice. Increasingly, though, worker-facing scheduling apps are making it easier for employers and workers to communicate in real time, as well as allow workers to swap shifts with other workers quickly.

There are new services that complement employers’ scheduling software to provide workers with more agency over their schedules. These platforms, like Wonolo, Shiftgig and our company's own HUSL app, allow workers to find and accept open shifts on short notice. When employers use on-demand mobile platforms to fill empty shifts, the benefit for workers is clear: more control over their schedules and greater flexibility, allowing students to work around class schedules or stay-at-home-parents to choose part-time hours, for example.

But they benefit employers, too. Employers can maintain a roster of full-time employees but use the on-demand hiring apps to fill gaps in the schedule or staff up during busy periods, minimizing schedule changes for existing employees.

The freelance economy will only accelerate as more workers make the choice to control their own schedules and income streams. Companies that want to succeed long-term must adapt to this new work environment, empowering workers to play a larger role in controlling their hours. Companies must embrace flexibility while still maintaining a consistent workforce. The solution is to hire core teams with fixed hours and to add flexibility by also welcoming on-demand workers as needed.